...American Corporation Analysis ACC/561 Sep 10, 2015 American Corporation Analysis Comparative and ratio analyses are two ways that companies look at their own growth and that of their competitors. Comparative analysis is a way for businesses to look over several accounting periods and find emerging trends and see how the business is progressing in areas. Ratio analysis is a financial technique that allows companies to quickly see how they are doing at any given moment and also allows investors to see how that company is doing at that moment. Two areas that can be looked into is that of ratio analysis which focuses on liquidity and profitability ratios. Team D chose to take the American of CVS to examine and compare it to that of its competitor Walgreens to analyze its growth within its market. Comparative Profitability Comparative analysis can be completed in a number of different bases. Intercompany basis compares the financial relationship of CVS with Walgreens which is one of the competing companies (Kimmel, Weygandt, & Kieso, 2011). As shown in figure 3, 1, we analyze the data from the published financial statements from each of the individual companies. CONDENSED INCOME STATEMENTS (in millions) | | CVS | Walgreens | | Dollars | Percent | Dollars | Percent | Net sales | $139,367.00 | 100.00% | $76,362.00 | 100.00% | Cost of goods sold | $114,000.00 | 81.80% | $54,823.00 | 71.79% | Gross profit | $25,367.00 | 18.20% | $21,539.00 | 28.21% | Selling...
Words: 1937 - Pages: 8
...American Corporation Analysis ACC 561 July 23, 2014 Prof. American Corporation Analysis PROFITABILITY RATIOS Note: All numbers are shown in millions except for ratios. 1. Earnings Per Share Ratio | Formula | Purpose | 2013 | 2012 | Earnings Per Share (EPS) | Net Income − Preferred Stock DividendsAverage Common Shares Outstanding | Measures the net income earned on each share of Deere’s common stock. | $9.093,537.3 – 0389.2 | $7.633,064.7 – 0401.5 | Earnings Per Share (EPS) is the gauge of John Deere’s profitability. It is the portion of Deere’s profit allocated to each outstanding share of common stock. In 2013, EPS increase by $1.46 per share. This was two (2) years in a row that Deere’s EPS has increased substantially. 2. Price-Earnings Ratio Ratio | Formula | Purpose | 2013 | 2012 | Price-Earnings Ratio | Stock Price Per ShareEarnings Per Share | Reflects investors’ assessments of Deere’s future earnings. | 9.0081.849.09 | 11.1985.447.63 | This oft-quoted statistic measures the ratio of the market price of each common stock to EPS. Price-earnings ratio (P/E) is how John Deere’s stock is measured amongst investors. Deere’s P/E tells investors what the market is willing to pay for Deere’s earnings. 3. Gross Profit Ratio Ratio | Formula | Purpose | 2013 | 2012 | Gross Profit Ratio | Gross ProfitNet Sales | Determines ability to maintain adequate selling price above its cost of goods sold. | .279,33134,997.9 | .258,49333,500.9 | John...
Words: 1608 - Pages: 7
...General Electric’s Corporation Using all possible resources helps companies maintain control of the business and its finances. The success of a company relies on the data that is gathered. General Electric has provided billions in financing so business can build and grow their operations and consumers can build their financial futures (GE 2013.) GE works towards the satisfaction of consumers through reliable resources used in the everyday life. This paper provides information on the different resources that GE uses. These resources consist of comparative analysis and ratio analysis that help measure profitability and liquidity. General Electric Ratio Analysis GE’s ability to pay its debts as the debts come due is ratio analysis. GE’s consolidated ratio position is adequate. GE consolidated ratio position is adequate. GE’s ratio is supported both by the firm’s consistent earnings track record and its ability to quickly divest business or assets to fit its strategic goals. Consolidated cash and equivalents were $8.3 billion. On a consolidated basis GE had a total of around $56 billion of contractually committed lending arrangements. General Electric, a triple-A rated, frequent borrower, is in a stable position with regards to ratio. Its issuance policy is not based on market outlook but rather on a planned program of issuance to support its ongoing financial businesses and its addition of assets. Horizontal Analysis Horizontal or trend analysis is used to evaluate a...
Words: 1341 - Pages: 6
...ACC 561 WEEK 3 AMERICAN CORPORATION ANALYSIS A+ Graded Tutorial Available At: http://hwsoloutions.com/?product=week-3-american-corporation-analysis Visit Our website: http://hwsoloutions.com/ Product Description ACC 561 Week 3 American Corporation Analysis, American Corporation Analysis The reasoning behind financial analysis is to give a better perspective about the financial structure and profitability position of the corporation. Such corporations as Wal-Mart Incorporated benefit considerably from a financial analysis because it assists in determining the durability in handling sales, assets, and debts. Wal-Mart was established in 1962 by Sam Walton in Rogers, Arkansas; by 1967 24 stores were open with a $12.7 million sales revenue. In 1970, the corporation became a publicly traded company with stocks at $16.50 per share. Ten years later Sam Walton reached $1 billion in sales annually, beating out other major competitors. In 1990, Wal-Mart was the number one retailer nationally, and continued its success by going international. Today, Wal-Mart employs 2.2 million associates in North America and internationally, serving over 200 million customers weekly at more than 11,000 stores. Horizontal Analysis After completing the horizontal analysis of Wal-Mart’s consolidated balance sheets for the years of 2011 and 2012, several elements stand out with significant variances. For example, Wal-Mart’s cash and equivalents decreased by 11% while total assets increased by...
Words: 636 - Pages: 3
...Case Study: Lincoln Savings and Loan Association In 1978, Charles Keating, Jr. began focusing his time and energy on his business endeavours when he founded the real estate firm, American Continental Corporation (ACC). Six years later, ACC acquired Lincoln Savings and Loan Association, which was headquartered in Phoenix, although its principal operations were in California. In his application to purchase Lincoln, Keating pledged to regulatory authorities that he would retain the Lincoln management team, that he would not use brokered deposits to expand the size of the savings and loan, and that residential home loans would remain Lincoln's principal line of business. After gaining control of Lincoln, Keating replaced the management team; began accepting large deposits from money brokers, which allowed him to nearly triple the size of the savings and loan in two years; and shifted the focus of Lincoln's lending activity from residential mortgage loans to land development projects. On 14 April 1989, the Federal Home Loan Bank Board (FFILBB) seized control of Lincoln Savings and Loan, alleging that Lincoln was dissipating its assets by operating in an unsafe and unsound manner. On that date, Lincoln's balance sheet reported total assets of $5.3 billion, only 2.3 percent of which were investments in residential mortgage loans. Nearly two-thirds of Lincoln's asset portfolio was invested directly or indirectly in high-risk land ventures and other commercial development projects. At...
Words: 4502 - Pages: 19
...Compliance Audit Report Public Version ExxonMobil Corporation-Baton Rouge NERC ID # NCR00128 Confidential Information (including Privileged and Critical Energy Infrastructure Information) – Has Been Removed Date of Audit: July 17-19, 2012 Date of Report: August 11, 2012 Confidential information (including Privileged and Critical Energy Infrastructure Information) – Has Been Removed TABLE OF CONTENTS Executive Summary ........................................................................................................ 3 Audit Process .................................................................................................................. 3 Objectives ................................................................................................................................................ 3 Scope ....................................................................................................................................................... 4 Confidentiality and Conflict of Interest ................................................................................................ 4 Methodology............................................................................................................................................ 4 Company Profile ..................................................................................................................................... 5 Audit Participants ...............................................
Words: 1830 - Pages: 8
...necessary information for developing a complete analytical report. We thank her for her sincere guidance, supervision and encouragement throughout the course. Table of Contents Introduction _______________________________________________________________ 6 Literature Review Company Background _______________________________________________________ 7 Company Mission and Vision __________________________________________________ 8 Organization Chart ___________________________________________________________ 9 How the Business was formed Articles and By Laws of Corporation ____________________________________________ 10_ Advantages and Disadvantages of Business _______________________________________ 12 Detains of number and types of product __________________________________________ 15 Industry Analysis Major Competitors __________________________________________________________ 17 SWOT Analysis ____________________________________________________________ 19 Conclusion ________________________________________________________________ 21 References _________________________________________________________________21 Executive Summary Bangladesh is Asia Pacific’s most promising opportunities for Tobacco cultivation due to vast cultivable lands and suitable weather. BAT symbolizes a name - a state of mind. From the beginning, it has today burgeoned into...
Words: 3067 - Pages: 13
...here http://homeworkonestop.com/ACC%20561/acc-561-accounting-week-1-to-6-assignment-wilyplus-dq-final Product Description ACC 561 Accounting WEEK 1 Individual Assignment, Financial Statement Review Paper Individual Assignment, Wileyplus BE1-7, BE1-8, BE1-9 Discussion Question 1 and 2 WEEK 2 Individual Assignment, Sarbanes-Oxley Act of 2002 Individual Assignment, Wileyplus E13-5, E13-6, E13-8, E13-9 Learning Team Summary Learning Team Reflection Discussion Question 1 and 2 WEEK 3 Individual Assignment, American Corporation Analysis Individual Assignment, Wileyplus BE15-5, E16-1, E17-9 Discussion Question 1 and 2 WEEK 4 Individual Assignment, WileyPLUS BYP17-2 Managerial Analysis Individual Assignment, Wileyplus BE18-1, BE18-7, BE18-11, E19-2 Learning Team Summary Learning Team Reflection Discussion Question 1 and 2 WEEK 5 Individual Assignment, Costing Methods paper Learning Team Assignment, CVP and Break-Even Analysis Paper Individual Assignment, Wileyplus E20-2, E20-5, BE21-4, E22-5 Learning Team Deliverable Discussion Question 1 and 2 WEEK 6 Individual Assignment, Wileyplus E23-1, E23-2 Learning Team Summary Learning Team Reflection ACC 561 Final Exam WileyPLUS (30 Q & A) ACC 561 Final Exam 2 (30 Q & A) ACC 561 Final Exam 3 (54 Q & A) ACC 561 Final Exam 4 (54 Q & A) ACC 561 Final Exam 5 (54 Q & A) ACC 561 Final Exam 6 (52 Q & A) ACC 561 Final Exam 7 (45 Q & A) ACC 561 Accounting Week 1 to 6, Assignment, WilyPLUS, DQ, Final ...
Words: 4411 - Pages: 18
...BACKGROUND In 1981, AHP had reached sales of more than $4 billion by producing 1,500 marketed brands in 4 different kind of business; prescription drugs, packaged drugs, food products, and housewares and households products. Moreover, AHP is known to be the largest and profitable business in prescription of drugs; however, the company has a sizable market share in antihypertensive, tranquilizers, and oral contraceptives. The company has almost debt- free balance sheet and growing cash reserves (40% of net worth in 1981). AHP was able to gain this huge success in these lines was by marketing expertise. CULTURE OF THE BUSINESS AHP's corporate culture distinctive and this culture had several components. First, the company's culture was known to be reticence. A second element, that the managerial philosophy of AHP was prudence and had a strict financial control. For example, all expenditures that are greater than $500 had to be personally approved by Mr. Laporte, who was the CEO of AHP, even if was authorized in the corporate budget. Another important component of AHP's culture was conservatism and risk aversion. Finally, The Company has a long- standing policy of centralizing, where the chief executive had complete authority. STAGES OF DEVELOPMENT AHP's managerial philosophy was proven to be successful as it produced impressive results. AHP's financial performance was stable with consistent growth and profitability. In the year 1981, the firm was able to increase sales, earnings...
Words: 2139 - Pages: 9
...FedEx Corporation REFERENCE CODE: 3FB515C6-44D5-4A30-BC7E-556271B4A308 PUBLICATION DATE: 28 Feb 2013 www.marketline.com COPYRIGHT MARKETLINE. THIS CONTENT IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED OR DISTRIBUTED. FedEx Corporation TABLE OF CONTENTS TABLE OF CONTENTS Company Overview..............................................................................................3 Key Facts...............................................................................................................3 SWOT Analysis.....................................................................................................4 FedEx Corporation © MarketLine Page 2 FedEx Corporation Company Overview COMPANY OVERVIEW FedEx Corporation (FedEx or “the company”) offers overnight courier services, freight services, logistics solutions, and business support services. The company is one of the largest express transportation companies, delivering small packages worldwide. FedEx is headquartered in Memphis, Tennessee and employed 101,000 permanent full-time and 48,000 permanent part-time employees as of May 31, 2012. The company recorded revenues of $42,680 million during the financial year ended May 2012 (FY2012), an increase of 8.6% over FY2011. The operating profit of the company was $3,186 million in FY2012, an increase of 34% over FY2011. Its net profit was $2,032 million in FY2012, an increase of 39.9% over FY2011. KEY FACTS Head Office FedEx Corporation 942 South...
Words: 2706 - Pages: 11
...privately owned rights. This report has not been approved or disapproved by the company nor has the company passed upon the accuracy or adequacy of this information in this report. Acknowledgments We thank our colleagues Han-Sung Park and Su Hyeon Lee for external and internal analysis assistance. We thank Dr. Harm-Jan Steenhuis, for providing advice and encouragement as well as valuable support and assistance throughout the project. Executive Summary Over the last two years of loosing profit, InnoBus has made clear a need for the company to have an effective decision to solve this problem. Negative impacts of the current operation and strategy (or lack thereof), has further emphasized this need. There are several potential solutions for this type of problem; however decisions for a company of this size should be made through careful analysis. There are many collaboration tools that could provide significant advantages to InnoBus in its effort to address the need for improved operation. Any potential solution would need to come through a high-scientific analysis that enables the owner of the company (Mr. de Koning) to review, maintain, share and synchronize at any level. In addition to analysis of specific solution, this paper looks at the ways InnoBus can drive various performance measures in general...
Words: 11321 - Pages: 46
...General Motors Corporation, an American leading multinational auto manufacturing company was founded in 1908 in Flint, Michigan, and is commonly known as GM. They have the biggest number of employees in the world. They produce many brands of vehicles like Chevrolet, GMC, Buick, Cadillac, and Isuzu. Since GM has been a dominant force in the auto industry, we will list a SWOT analysis. A SWOT analysis is an acronym that stands for Strengths, Weaknesses, Opportunities, and Threats. Mangers often use this analysis to create a company’s strategic position. STHRENGHTS GM is one of the most respected companies in the world and is the market leader in the world auto industry. It has assembly, manufacturing, and distribution in 55 other countries. This is one of the strengths for GM. It has already established itself as a business and world leader in the auto industry. Another strength GM has is its innovation and strategic marketing. Since GM has a good market reputation, it has acquired about 30% of the world’s auto market. Through improvement, GM has placed many new brands in the market. This has been done by investing in new technology and therefore has provided growth in the market. GM has also maintained a strong management team with a strong management structure. This has ensured standardization of operations through all departments. They also have in effective corporate organization. They ensure the disclosure on the performance of the corporation. WEAKNESSES ...
Words: 2006 - Pages: 9
...Wendell K Stephens Strategic MGMT Seg 2 RAND Corporation 1. What made RAND so Conducive to fostering and facilitating strategic thinking and strategic thinkers during the cold war? The original organizational direction of RAND corporations was to allow a small select group of intellectuals who were successful in collaborating with scientific work for the military during and after the World War II. The formation of RAND was initially placed under the guidance of the Air Force, however, the sentiment of senior leaders in the military, government, and intellectuals participating felt that continuing under the umbrella of one of the branches of the military might stagnate the benefit of having a group of “free thinkers” from achieving great results. RAND was given independence to conduct research and this freedom of thought was “guarded” within this group of researchers. RAND attracted creative talent and individuals who were free thinkers who found comfort in not being held to a deadline or driven towards an A or B outcome choice. RAND fostered strategic thinking based on all of the intellectuals from various disciplines like economics, mathematics, research analysis, were placed in an environment with colleagues from the most influential intellectual institutions of the day as well as the federal sector, military and civilians branches of government. RAND received a grant from Henry Ford II ($1,000,000) which allowed the organization to become...
Words: 776 - Pages: 4
...INBU 250 Chpt. 11 Case Analysis Anglo American PLC in South America BACKROUND: According to (Daniels, Radebaugh, & Sullivan), Anglo American was founded in 1917 as the Anglo American Corporation of South America. In 2002, Anglo American made a landmark decision to provide free antiretroviral therapy (ART) to HIV-infected employees. In 2007, Anglo American PLC, at the time one of the world’s largest gold miners, found itself facing a threat that, although by no means new, defies most traditional categories of things that complicate business – an HIV/AIDS epidemic in South Africa, the world’s largest gold producer. Anglo American PLC is a diversified mining conglomerate operating in 45 countries and employing 107,000 permanent employees to produce precious metals, base metals, and bulk metals. Sub-Saharan Africa is home to just over 10 percent of the world’s population and 60 percent of all people infected with HIV, the virus that causes AIDS. South Africa has the highest number of people living with HIV/AIDS and suffers the world’s highest rates of HIV infection – approximately 5.5 million- in a population of 49 million. Every day, almost 1000 South Africans die from AIDS-related diseases. ISSUE: Can Anglo American PLC and other corporations continue the fight against HIV/AIDS epidemic so that it does not affect business operations? ANALYSIS: Yes: 1) According to (Daniels, Radebaugh, & Sullivan), Anglo American PLC recognized the threat of the HIV/AIDS...
Words: 1082 - Pages: 5
...Running he WHIRL ead: LPOOL’s GL LOBAL STR RATEGY CA ANAL ASE LYSIS Whirlpool Co W orporation’s Global Str s rategy Case Analysis International Man nagement – Assignmen 2 nt Candidate: Emad Abou uElgheit ISM - International School of Manageme f ent Doctor of Philosophy ( P (Ph.D.) Presented to: Professor Peter Horn t P 26 July 201119 July 2011 1 Word Coun 3,706 nt: 1 WHIRLPOOL’s GLOBAL STRATEGY CASE ANALYSIS 2 Abstract The paper analyses Whirlpool Corporation’s Global Strategy case study conducted in the year 2001. The paper aims to spot key reasons behind the declining performance the company experienced in the late 1990s a few years after the start of its globalization plan in the year 1987. The plan initiated under the new leadership of David Whitwam encountered many problems in its early stages illustrated in a declining profitability in its home market, losses in the European market and failure in some of its joint ventures in the Asian market.1 With such poor performance and failure in achieving competitive edges in global markets, Whirlpool was at a great risk of losing huge investments made in foreign markets, and losing highly-potential market shares in emerging international markets to aggressive competitors. The paper illustrates core strategic mistakes around three main strategies; sourcing and operations, entry, and marketing strategies adopted. The goal is to address lessons learned from Whirlpool’s experience ...
Words: 6106 - Pages: 25
